China approved the country’s first cryptography law

The Standing Committee of the All-China Assembly of People’s Representatives (NPC) adopted the first cryptography law in the country’s history, which will enter into force on January 1, 2020.

New regulations establish cryptographic standards and determine how encryption tools are used. The development of guidelines for the use of cryptographic encryption will be undertaken by the Central Agency for Cryptography under the leadership of the Chinese Communist Party.

This is the first law directly related to cryptography, key management, and hashing algorithms. It can be widely used in all areas related to encryption: from mining to distribution of blocks. At the same time, the law does not mention decentralized and state cryptocurrencies.

The text of the bill was published by Chinese media in early May, but the law was adopted by the authorities only now. Experts believe that the adoption of the Cryptography Law is a prerequisite for the early launch of the Central Bank of China’s own digital currency.

Recently, the head of the People’s Republic of China, Xi Jinping, called for speeding up the implementation of the blockchain in the country, and last year the Chinese Communist Party issued a blockchain guide for employees of state organizations with the aim of increasing their literacy in the field of latest technologies.